Employers offering severance payment to employees are typically uncertain about the payroll taxes that may apply to these additional payments. Severance pay is treated as “supplemental wages” because it is not a payment for services in the current payroll period but a payment made upon or after termination of employment for an employment relationship that has
Employer Liability
Criminal Background Checks – Act 73’s Impact on Pennsylvania Employers
Employers engaging in business where employees have “significant likelihood of regular contact with children” should be paying close attention to the amendments to Pennsylvania’s Child Protective Services Act, also know as Act 73. Act 73 became effective on July 1, 2008, and has taken many employers off guard.
Act 73 expands criminal background check requirements…
Managing Layoffs and Reductions in Force
As the economic meltdown cascades through the financial, banking and related sectors, many employers are planning staff cuts. Selecting employees for lay off must be collaboration between managers and human resources. HR must be able to influence the process to reduce legal risks and assuage the anxiety of remaining employees:
Establishing Business Justification and Layoff …
Managing a Business and its Employees in Financial Crisis Requires Communication from HR
The specter of business failure and personal financial setbacks wreak havoc on employee morale challenging Human Resources with dual management problems. First, HR needs to formulate a communication strategy to address the concerns of employees surrounding job security and compensation. Employee jitters surround the viability of their employer and the security of their jobs. Retirement savings evaporate as…
Pennsylvania Workplaces Must be Smoke-free by September 11, 2008
The effective date of Pennsylvania’s Clean Indoor Air Act is fast approaching leaving many employers with questions about what they should be doing to comply with the new law. Here are some steps that employers may wish to consider in fostering good employee relations and avoiding the civil and criminal penalties associated with violations of the…
WARN Act’s Faltering Company Exception Clarified
Businesses face increasing uncertainty over the availability of financing because of the economic downturn and tightening of credit markets. Financially troubled businesses may need to curtail operations through a plant closing or mass layoff if additional financing is not received. Employers need to manage compliance with the Worker Adjustment and Retraining Notification Act (WARN) as their…
Drinking Establishment Exemption Process Detailed by PA Dept of Health
The Department of Health (DOH) released additional Guidance and an application for an exemption for drinking establishments, cigar bars, and tobacco shops under Pennsylvania’s Clean Indoor Air Act (CIAA). The DOH information tangentially addresses the cross over between the prohibition on smoking in “workplaces” that may also be exempt “drinking establishments”. For example, the law…
Revisiting Baseline Qualifications For Certain Positions: How Objective Qualifications, When Used Properly, Can Save The Day In Defending A Discrimination Claim
In Makky v. Chertoff, the Third Circuit Court of Appeals recently addressed the importance of objective job qualifications in evaluating the merits of a discrimination claim. Employers that establish clear baseline standards for position through their job descriptions, advertisements and other records are better able to defend discrimination claims by showing that the applicant…
First Amendment Free Speech Protections Limit University’s Enforcement of its Sexual Harassment Policy
A Federal Appeals Court in Philadelphia enjoined Temple University from enforcing its “facially overbroad” sexual harassment policy because some speech that creates a “hostile or offensive environment” may be protected speech under the First Amendment. In DeJohn v. Temple University, the Third Circuit Court of Appeals invalidated a public university’s Policy on Sexual Harassment that…
Legal System to Blame for Humorless Work Environment?
Hard economic times, perpetual threat of layoffs, workers stretched too thin could all be contributing to the “increasingly humorous American workplace” according to MSNBC author Eve Tahmincioglu in her post No joke! The workplace needs a good laugh. However, others are pointing to our legal system’s clamp down on “hostile work environments” as the cause…